$5 MILLION LAWSUIT FILED AGAINST BITMAIN IN NORTHERN CALIFORNIA

A collective lawsuit of $5 million with charges of cryptocurrency illegal mining at the expense of customers is filed against the mining giant Bitmain, said the California Federal court.

A leading plaintiff living in Los Angeles, Gor Gevorgyan, filed a lawsuit against Bitmain, accusing it of illegal mining at the expense of customers:

“Until the completion of a complex and time-consuming installation procedure, Bitmain’s ASIC devices are pre-configured so that they can use customers’ electricity to mine cryptocurrencies in favor of Bitmain, but not customers.”

Gevorgyan claims that after the acquisition of devices from Bitmain, including the Antminer S9, in January 2018, he spent “significant time” on their configuration, but until that moment, the devices “worked at full capacity” at his expense.

Gevorgyan demands compensation of $5 million on behalf of all miners for “unfair business practices” leading to “obvious losses of own funds”.

At the beginning of the month, it became known that the mining company also filed a lawsuit against an unknown hacker who stole bitcoins owned by the company, clearing the Bitmain account on Binance.